Australia’s position in global beef and sheepmeat markets

Meat & Livestock Australia (MLA) has recently updated its annual Global industry and trade reports – highlighting Australia’s position within global beef and sheepmeat markets, including:  

• emerging opportunities and challenges for Australian red meat exports
• impact of COVID-19 on the global red meat industry
• consumption and import trends across key import destinations
• insights into the competitive landscape, covering exports, production levels and cost of production.

Global beef summary

While 2020 was a particularly challenging year characterised by the far-reaching impact of COVID-19 and tight levels of Australian livestock supply, many opportunities for targeted growth remain. For instance, growing consumer interest and awareness of provenance, sustainability, animal welfare, safety and traceability provide messaging opportunities for Australian brands and underpin ambitious, industry-wide programs to further differentiate.

A key challenge in 2021 will be rising production and export volumes from key competitors, such as the US and Brazil. With Australian beef production expected to remain tight this year, there will be intensified competition for market share in the coming years, particularly within Asian markets. Additionally, COVID-19 has created a multitude of challenges that will certainly have flow-on effects for the foreseeable future, particularly pertaining to the foodservice and tourism industries.

Click here to read MLA’s global beef industry and trade report NEW!

Global sheepmeat summary

The outlook for global sheepmeat demand remains largely positive, with consumption growth highest in Asia, the Middle East and Africa. Across these regions, sheepmeat is more widely consumed, and a greater number of consumers are shifting into the middle-upper income bracket and seeking higher quality meat. Australia’s access to a wide range of global markets will allow exporters to continue to develop targeted opportunities for growth and maximise carcase value.

Although strong growth fundamentals exist, the sheepmeat industry isn’t without its own challenges. In most markets, lamb and mutton remain niche components of consumer diets compared to beef, poultry and pork, and face difficulties, particularly regarding affordability and familiarity. The growing presence of alternative proteins is also a notable challenge on the horizon, with a number of meat substitutes becoming more embedded in the mainstream marketplace. These alternatives will continue to compete for market share with sheepmeat and other proteins.

Click here to read MLA’s global sheepmeat industry and trade report

© Meat & Livestock Australia Limited, 2021